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Regional socio-economic impacts of decentralised bioeconomy: a case of Suutela wooden village, Finland

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  • Olli Lehtonen
  • Lasse Okkonen

Abstract

The regional bioeconomy has a high importance for generating socio-economic impacts, especially in sparsely populated resource peripheries. The benefits include increased employment and income and improved security of supply. In this study, the modified regional input–output model is applied for analysing the socio-economic impacts of Suutela wooden village construction in North Karelia, Finland. The main objective of this article is to provide an illustrative example on the regional input–output modelling, applied to the investigation of the socio-economic impacts of a conventional, decentralised bioeconomy. Based on this Finnish case of a wooden village with bioenergy district heating, we demonstrate both the employment and income potentials of a decentralised bioeconomy. The results indicate good socio-economic potential of local wood construction, resulting in about 250 personnel working years and a total economic impact of 43.7 million euros on the regional economy. To maintain the sensitivity of the input–output modelling, it is considered more suitable for overall regional impact estimations, rather than pointing out differences between the subsystems. When modified for research purposes, the regional input–output model is well capable to efficiently describe the socio-economic impacts and providing information for local decision-makers to support new projects of a bioeconomy. Copyright Springer Science+Business Media B.V. 2013

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  • Olli Lehtonen & Lasse Okkonen, 2013. "Regional socio-economic impacts of decentralised bioeconomy: a case of Suutela wooden village, Finland," Environment, Development and Sustainability: A Multidisciplinary Approach to the Theory and Practice of Sustainable Development, Springer, vol. 15(1), pages 245-256, February.
    • Handle: RePEc:spr:endesu:v:15:y:2013:i:1:p:245-256
    DOI: 10.1007/s10668-012-9372-6
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    References listed on IDEAS

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    1. Lasse Okkonen, 2008. "From exogenous to endogenous development in Scottish forestry: the feasibility of small-scale wood energy enterprise," Journal of Environmental Planning and Management, Taylor & Francis Journals, vol. 51(2), pages 221-232.
    2. Rimmler, Thomas & Kurttila, Mikko & Pesonen, Mauno & Koljonen, Kauko, 2000. "Economic impacts of alternative timber-cutting scenarios in Finland: an input-output analysis," Forest Policy and Economics, Elsevier, vol. 1(3-4), pages 301-313, December.
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    3. Hermans, Frans, 2018. "The potential contribution of transition theory to the analysis of bioclusters and their role in the transition to a bioeconomy," EconStor Open Access Articles and Book Chapters, ZBW - Leibniz Information Centre for Economics, vol. 12(2), pages 265-276.
    4. Swinda F. Pfau & Janneke E. Hagens & Ben Dankbaar & Antoine J. M. Smits, 2014. "Visions of Sustainability in Bioeconomy Research," Sustainability, MDPI, vol. 6(3), pages 1-28, March.
    5. David Ayrapetyan & Frans Hermans, 2020. "Introducing a Multiscalar Framework for Biocluster Research: A Meta-Analysis," Sustainability, MDPI, vol. 12(9), pages 1-23, May.
    6. Valeria Ferreira Gregorio & Laia Pié & Antonio Terceño, 2018. "A Systematic Literature Review of Bio, Green and Circular Economy Trends in Publications in the Field of Economics and Business Management," Sustainability, MDPI, vol. 10(11), pages 1-39, November.
    7. Sanz-Hernández, Alexia & Jiménez-Caballero, Paula & Zarauz, Irene, 2022. "Gender and women in scientific literature on bioeconomy: A systematic review," Forest Policy and Economics, Elsevier, vol. 141(C).
    8. Hetemäki, L. & D'Amato, D. & Giurca, A. & Hurmekoski, E., 2024. "Synergies and trade-offs in the European forest bioeconomy research: State of the art and the way forward," Forest Policy and Economics, Elsevier, vol. 163(C).
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    10. Piotr Jurga & Efstratios Loizou & Stelios Rozakis, 2021. "Comparing Bioeconomy Potential at National vs. Regional Level Employing Input-Output Modeling," Energies, MDPI, vol. 14(6), pages 1-17, March.
    11. Emilia Mary Balan & Cristina Georgiana Zeldea, 2023. "Bioeconomy in Romania: Investigating Farmers’ Knowledge," Sustainability, MDPI, vol. 15(10), pages 1-29, May.
    12. Benz Xinqi Zhu & Maria Vrachioli & Johannes Sauer, 2023. "Regional Employment Impacts of Biorefineries in the EU," EuroChoices, The Agricultural Economics Society, vol. 22(3), pages 44-50, December.
    13. Zhu, Xinqi & Vrachioli, Maria & Edoardo, Baldoni & M'barek, Robert & Sauer, Johannes, 2021. "Bio-Refineries – a Solution to the EU Sustainable Development Challenges," 2021 Conference, August 17-31, 2021, Virtual 315164, International Association of Agricultural Economists.
    14. Jens Fyhn Lykke Sørensen & Henning Peter Jørgensen, 2022. "Rural Development Potential in the Bioeconomy in Developed Countries: The Case of Biogas Production in Denmark," Sustainability, MDPI, vol. 14(17), pages 1-18, September.
    15. Efstratios Loizou & Piotr Jurga & Stelios Rozakis & Antoni Faber, 2019. "Assessing the Potentials of Bioeconomy Sectors in Poland Employing Input-Output Modeling," Sustainability, MDPI, vol. 11(3), pages 1-12, January.

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